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El Salvador got the money. On October 1, the IMF wrapped up its second and third reviews of the country’s $1.4 billion loan program, unlocking an immediate disbursement worth SDR 101.96 million — roughly $138 million. Not a small check.
Why It Matters
This disbursement from the IMF underscores the ongoing financial support for El Salvador amid its controversial Bitcoin strategy, revealing the complexities of aligning national fiscal policies with cryptocurrency investments. The waivers granted for unmet performance criteria highlight the challenges the government faces in balancing its Bitcoin holdings with broader economic stability, a situation that could have implications for investor confidence and the future direction of the country's financial policies. The current Bitcoin stack of 7,794 coins reflects both the government's commitment to its Bitcoin initiative and the potential risks associated with market volatility.
The reviews came with something else attached: waivers. The IMF granted waivers for unmet performance criteria tied to Bitcoin accumulation, which basically means El Salvador had drifted outside the agreed limits on state-funded Bitcoin purchases at some point, and the Fund decided to let it slide — for now — in exchange for renewed commitments. The program keeps moving, the constraints stay in place, and the government gets its cash. That’s the deal.
El Salvador’s Bitcoin Stack: 7,794 Coins, $666M
Right now the country holds approximately 7,794.37 Bitcoin. At current prices that’s around $666.1 million sitting on the government’s books. It’s a significant pile, and it’s exactly what makes the IMF uncomfortable. The Fund has been pretty clear: it wants to know where every coin came from.
That’s not a small distinction. The IMF draws a hard line between Bitcoin bought with public funds and Bitcoin received through donations. Coins that arrive as donations can technically grow the reserve without triggering a breach of program conditions. Government-funded purchases are a different story — those are constrained under the loan terms. So El Salvador can, in theory, accumulate more Bitcoin without violating the agreement, as long as it can document that the coins didn’t come from the public purse. Whether that documentation holds up under future reviews is another question entirely.
The 40-month Extended Fund Facility was approved in February 2025. It’s built around fiscal adjustment and financial sector reforms, not just Bitcoin. Fiscal consolidation is apparently on track — the IMF says reserve and liquidity targets have been comfortably met. That’s probably why the waivers got approved rather than triggering a harder response.
Chivo Wallet, Disclosure Rules, and What Comes Next
The Chivo wallet situation is still messy. El Salvador’s government has transferred majority ownership of the Chivo wallet to a private operator. That’s a move toward reducing direct state exposure to crypto operations. But the IMF isn’t satisfied with majority transfer — it wants complete public-sector divestment. Full exit. No partial ownership, no lingering government stake. That work isn’t done yet.
On top of the Chivo issue, the IMF is pushing El Salvador to do three things: improve public-sector crypto disclosure, strengthen digital asset regulation and governance, and possibly amend its Digital Asset Issuance Law. Those aren’t small asks. Amending a law takes time, and “possibly” is doing a lot of work in that sentence — the IMF hasn’t said it’s mandatory, but the implication is clear enough.
Future reviews will dig into how El Salvador documents any changes in its Bitcoin balance. If coins show up on the books without a clear explanation — donation, purchase, whatever — that probably triggers another waiver request. And another waiver isn’t guaranteed. The program’s continued support depends on El Salvador staying inside the lines, or at least explaining convincingly when it doesn’t.
The broader picture here is that El Salvador is essentially running two narratives at once. Publicly, the country built its identity around Bitcoin adoption — legal tender status, the Chivo wallet, state accumulation. Internationally, it’s now committed to limiting that same accumulation, privatizing the wallet infrastructure, and improving transparency to keep IMF financing flowing. Those two stories don’t fully contradict each other, but they’re in tension.
Stablecoin and crypto adoption across Central America has grown sharply in recent years, which makes El Salvador’s regulatory posture matter beyond its own borders. Other governments in the region watch how this plays out. If El Salvador manages to satisfy the IMF while keeping its Bitcoin holdings intact, that’s one kind of precedent. If the next review turns up unexplained accumulation and the waivers stop coming, that’s a very different one.
For now, the $138 million is disbursed. The Bitcoin sits at roughly $666 million in value. The Chivo wallet is mostly — not fully — out of government hands. And the IMF will be back to check the books.
El Salvador’s next review will focus specifically on Bitcoin balance documentation and the status of the Chivo unwind. No timeline was given for when that review lands, and the source didn’t specify what threshold of unexplained accumulation would force the Fund’s hand.
The reserve sits at 7,794.37 Bitcoin.
Frequently Asked Questions
What did El Salvador receive from the IMF in October 2026?
El Salvador received a disbursement equivalent to SDR 101.96 million, roughly $138 million, after the IMF completed the second and third reviews of its $1.4 billion Extended Fund Facility on October 1.
How much Bitcoin does El Salvador hold, and can it buy more?
El Salvador holds approximately 7,794.37 Bitcoin valued at around $666.1 million. Under IMF program conditions, state-funded purchases are constrained, though Bitcoin received as donations can still grow the reserve if properly documented.
